Hormuz Shuttle System Keeps Oil Flowing at High Cost

Middle East oil producers are increasingly using ship-to-ship (STS) transfers in the Gulf of Oman to bypass Red Sea disruptions, with about 2.5 million barrels per day expected in September, up from 1.4 million in August. The costly method has pushed VLCC freight rates above $30 per barrel, forcing producers to offer discounts and straining global energy markets.